With an ongoing market downturn, XRP faces difficulty maintaining stability above the crucial threshold of 1 dollar, which many market participants are watching closely. The total market cap has fallen under 2 trillion dollars, reflecting a broader slump, as XRP declines around 4 percent in the past 24 hours, finding itself near 1.03 dollars currently.
Is Monthly Chart Support More Reliable?
According to TradingView’s latest data, a shift below the 1 dollar mark highlights a developing trend on longer timeframes. The Bollinger Bands—indicators that map price volatility—identify the major support for XRP moving down to 0.91 dollars, suggesting that while 1 dollar is a critical psychological level, technical factors on the monthly chart hold significant sway.
XRP, integral to the Ripple network for cross-border transactions, may see its fate more tied to these technical markers than direct psychological support. The analysis underscores that these technical boundaries represent key areas of focus.
The true battleground for XRP appears to be not at 1 dollar, but at the 0.91 dollar level highlighted by the Bollinger Bands on the monthly chart.
Why Liquidation Waves Pressure XRP?
The recent market movement has been considerably driven by extensive liquidations in the derivatives market. CoinGlass reveals a massive 1.48 billion dollar wipeout of positions, impacting 217,000 traders, predominantly from long positions that make up 1.21 billion dollars.
XRP holders felt the brunt of this market shock, as 39 million dollars in liquidations occurred, with nearly all attributed to optimistic positions. This starkly illustrates diminished buying momentum amid the downturn.
- XRP’s current price stands at 1.03 dollars.
- XRP witnessed a 4% drop within 24 hours.
- The next key support on the monthly chart is at 0.91 dollars.
- Total daily liquidations reached 1.48 billion dollars.
- XRP alone had liquidations around 39 million dollars.
Adding to the strain, a significant investor on Hyperliquid had to forcefully offload long investments totaling 47.7 million dollars in BTC and 28.5 million dollars in XRP, leading to aggregate losses of 8.42 million dollars. This major liquidation underscores eroding confidence.
CoinGlass data reveals that nearly all of the 39 million dollars liquidated in XRP came from long positions, highlighting the sharp loss of confidence among buyers.
Can XRP Sustain Above 1 Dollar?
Price fluctuations suggest that falling below the 1 dollar mark could signal a shift toward the lower Bollinger Band at 0.91 dollars. As a historically critical volatility marker, breaking this level may indicate further adjustments, eroding what was thought to be a resilient floor.
A breach beneath 1 dollar should not constitute a surprise from a technical viewpoint. Analysts view this potential shift as a recalibration towards genuine support zones, thereby reshaping the market backdrop for XRP in the foreseeable future.
